Last updated 19 December 2016

When the application has been approved, a certificate of incorporation will be forwarded to the association. The newly incorporated association’s management committee needs to meet within a week of the certificate’s issue to comply with the time limits imposed by the Associations Incorporation Act 1981 (Qld) (Associations Incorporation Act).

Financial management

A successful management committee will ensure that the financial records and minutes of its first term are properly and clearly kept.

The time, effort and expense involved in maintaining comprehensive records is always worthwhile, because a proper system of bookkeeping and minutes will give future management committees a clear understanding of the history and financial position of the association. The Westpac Guide for Community Treasurers is a useful guide, and material on a standard chart of accounts is also available on the Australian Charities and Not-For-Profits Commission website.

Taxation

The newly incorporated association is required to advise the Australian Taxation Office of the name of its public officer for the purposes of the various income tax laws.

Management committees should carefully consider their tax obligations. The association may be able to apply for exemption from income tax through application to the ACNC. Consideration should be given to whether an Australian Business Number is required and also whether the association needs to register for the Goods and Services Tax.

Formal endorsement by the ACNC and taxation authorities is required if the association is a charitable institution, trustee of a charitable fund or a deductible gift recipient.

Land owned by the association

Land that an unincorporated association owned before it was incorporated must be transferred into the name of the new incorporated association. This must be done within 30 days (s 24 Associations Incorporation Act).

A solicitor should be consulted about the transfers to avoid pitfalls and obtain the exact paperwork required to affect the transfer.

Name of the incorporated association

As discussed above, the association must ensure that its full name appears on all of its documents, including its cheques, advertisements, newsletters and correspondence. The full name is that which appears on the incorporation certificate and includes Inc. or Incorporated. The department strictly enforces this requirement.

A checklist for the management committee upon incorporation

The matters that ought to be considered at the first meeting after incorporation are:

  • election and appointment of a secretary
  • safe custody of the certificate of incorporation
  • production of the common seal and its approval
  • drafting of by-laws
  • appointment of a public officer for taxation purposes and direction of the public officer to notify the Taxation Office
  • application for ACNC registration, taxation exemption, Australian Business Number and/or Goods and Services Tax
  • directions about new books of accounts
  • resolutions about bank accounts
  • notice to creditors
  • transfer of any registered assets (land or cars) into the name of the incorporated association
  • insurance arrangements
  • appointment of an auditor (if required)
  • register of members and assets.